Using a perpetual inventory system, how should a company record the sale of inventory costing $490 for $1,120 on account? 1. Inventory 2. 3. Cost of Goods Sold Sales Revenue Accounts Receivable Accounts Receivable. Sales Revenue Cost of Goods Sold. Inventory Inventory Gain Sales Revenue. 4. Accounts Receivable. Sales Revenues. Gain 490 1,120 1,120 490 490 630 1,120 490 1,120 1,120 490 1,120 490 630

Using a perpetual inventory system, how should a company record the sale of inventory costing $490 for $1,120 on account? 1. Inventory 2. 3. Cost of Goods Sold Sales Revenue Accounts Receivable Accounts Receivable. Sales Revenue Cost of Goods Sold. Inventory Inventory Gain Sales Revenue. 4. Accounts Receivable. Sales Revenues. Gain 490 1,120 1,120 490 490 630 1,120 490 1,120 1,120 490 1,120 490 630

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Description: Using a perpetual inventory system, how should a company record the sale of inventory costing $490 for $1,120 on account?1. Inventory2.3.Cost of Goods SoldSales RevenueAccounts ReceivableAccounts Receivable.Sales RevenueCost of Goods SoldInventoryIn

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

Under the perpetual inventory system, in addition to making the entry to record a sale, a company would a. Debit Merchandise Inventory and Credit to Cost of Goods Sold. b. Debit to Cost of Goods Sold and credit to Merchandise Inventory c. Deb it to Cost of Goods Sold and credit to purchases d. No entry
Assume the perpetual inventory system is used. Sales $642,363 Merchandise Inventory 582,620 Sales Discounts 58,010 Interest Expense 3,777 Sales Returns and Allowances 90,232 Interest Revenue 10,268 Cost of Goods Sold 225,598 Rent Expense 15,090 Depreciation Expense-Office Equipment 3,400 Insurance Expense 2,450 Advertising Expense 12,870 Accounts Receivable 101,440 Office Supplies Expense 1,600 Rent Revenue 23,680 Sales Salaries Expense 30,410 Accounts Payable 138,404 Common Stock 59,419 Marketing Expense 33,000 A. Use the data provided to compute net sales for 2019.
Under the periodic inventory system, the journal entry to record the purchase of merchandise inventory will include a debit to Oa. Merchandise Inventory Ob. Purchases Oc. Accounts Payable Od. Cost of Merchandise Purchased
If the balance in the inventory account is greater than the physical count, which of the following journal entries is recorded? a.Debit Merchandise Inventory and credit Inventory Short and Over b.Debit Merchandise Inventory and credit Cost of Goods Sold c.Debit Cost of Goods Sold and credit Merchandise Inventory d.Debit Inventory Short and Over and credit Merchandise Inventory
If each purchase and sale of merchandise is recorded in the inventory and the cost of merchandise sold accounts, the method of accounting for merchandise inventory is the: A perpetual method. B) periodic method. C) gross profit method. D) administrative method.
Using a perpetual inventory system, the return to their supplier of merchandise purchased on account includes a(n) _____. a.increase in Merchandise Inventory b.decrease in Merchandise Inventory c.increase in Sales d.decrease in Sales
What is the name of the account used to record sales of merchandise inventory? Multiple Choice Sales Returns and Allowances Sales Fees Income Accounts Receivable
Which of the following accounts would be included in the chart of accounts of a merchandising company using the: (a) periodic inventory system, (b) perpetual inventory system, or (c) both systems? 1. Purchases 2. Merchandise Inventory 3. Sales 4. Purchases Discounts 5. Cost of Merchandise Sold 6. Freight In 7. Delivery Expense
Weighted average cost method with perpetual inventory The beginning inventory at Midnight Supplies and data on purchases and sales for a three-month period ending March 31 are as follows: Number of Units Per Unit Total $60.00 70.00 140.00 Date Transaction Jan. 1 Inventory Jan. 10 Purchase Jan. 28 Sale Jan. 30 Sale Feb. 5 Sale Feb. 10 Purchase Feb. 16 Sale Feb. 28 Sale Mar. 5 Purchase Mar. 14 Sale Mar. 25 Purchase Mar. 30 Sale 9,000 21,000 10,250 5,750 3,500 39,500 15,000 10,000 $540,000 1,470,000 1,435,000 140.00 805,000 140.00 490,000 75.00 2,962,500 150.00 2,250,000 150.00 1,500,000 25,000 82.00 2,050,000 30,000 150.00 4,500,000 10,000 88.40 884,000 19,000 150.00 2,850,000
Under a perpetual inventory system, acquisition of merchandise for resale is debited to O the Supplies account. O the Cost of Goods Sold account. O the Inventory account. O the Purchases account.
The journal entry to record a return of merchandise purchased on account under a perpetual inventory system would credit Accounts Payable. Purchase Returns and Allowances. Sales Revenue. Inventory.
4. Assume that VFA Co. uses periodic inventory system and has the following balances: Inventory, Jan. 1 Purchases Purchases returns and allowances Purchase discounts Freight in How much is the cost of goods available for sale? A. P1,131,000 B. P1,139,000 750,000 400,000 11,000 2% of purchases 16,000 C. P1,147,000 D. P1,200,000